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The challenge faced by Canada today in the light of the rapid changes in the global market place, with a particular focus on the newly emerging economies in the Pacific Rim and the enormous investments made by Japan in science and technology and research and development. How economic competitiveness can be achieved, particularly in a growing world context of sustainable development and caring for a quality of life and a quality of health and a quality of environment for all who inhabit this globe. These opening statements are followed by a detailed discussion of these issues, summarized in distinct points. The speaker also summarizes the goals of the Canada-Japan Complementarity Study (CJC), with a detailed list of recommendations "bearing on the principal areas and effective mechanisms for future S and T cooperation between Canada and Japan." Some concluding remarks reiterate the issues of competitiveness and the management of change; the important of research and development as equity investment "for that transition into a trade and technology era of global dimensions."